The demand for Liquefied Natural Gas (LNG) across South America and Middle East outstrips supply is a big boost for natural gas compressors

South America and Middle East: The spot demand for LNG outstrips supply in the month of June is going to drive the market for natural gas compressors. Spot demand is a market practice where goods or commodities are booked for future transaction. The spot demand for natural gas in South America and Middle East has up surged for the month of June which led to increase in LNG prices. Several new LNG plants have been commissioned globally which will help in meeting the increase in demand for LNG.

TechSci Research finds out that the share of natural gas in the total global energy mix increased from 25.3% in 2010 to 25.5% in 2014. The increasing upstream, midstream and downstream activity globally will boost the demand for gas compressors in near future. Gas compressors are used to reduce the volume of gas by increasing the pressure which helps in efficient transportation of gas. On the basis of technology, natural gas compressors are segmented into two categories - positive displacement compressors and dynamic compressors. Among these categories, positive displacement compressor is the most preferred natural gas compressors category, predominantly due to their low cost and increasing use in gas gathering and processing.

According to released report of TechSci Research “Global Natural Gas Compressors Forecast & Opportunities, 2021”, the global natural gas compressors market is anticipated to cross US$ 5.5 billion by 2021. With growing technological advancements in the recovery of natural gas through unconventional means, which include shale gas, synthetic coal-to-gas, coalbed methane and tight gas, huge demand for natural gas compressors is anticipated to be registered across the globe over the next five years.